Public Cloud - South America

South America

Revenue in the Public Cloud market is projected to reach US$13.60bn in 2024.
Software as a Service dominates the market with a projected market volume of US$4.05bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 18.76%, resulting in a market volume of US$32.13bn by 2029.
The average spend per employee in the Public Cloud market is projected to reach US$65.82 in 2024.
In global comparison, most revenue will be generated in the United States (US$388.50bn in 2024).

Key regions: United States, Germany, China, Japan, United Kingdom

Definition:

A public cloud is defined as the digital infrastructure and computing resources that are managed by a service provider. Examples of public cloud computing resources include virtual machines, storage, and services, all of which are available for purchase with flexible (e.g., pay as you go and subscription) business models. Such payment options make it possible for customers to access, scale, and utilize resources as needed. Public cloud solutions make it possible for users to save on IT costs, increase their efficiency, and take advantage of advanced technologies without having to invest in long-term IT solutions. Public cloud service providers own and maintain the physical infrastructure, hardware, and software. Users only need to pay for the computing resources that they require. The Public Cloud market refers to the companies that provide these cloud computing resources and services to individuals, businesses, and organizations.

Structure:

The Public Cloud market is structured into five markets based on the type of service models provided by the companies.

The Infrastructure as a Service (IaaS) market covers the resources and services related to the data center infrastructure.
The Platform as a Service (PaaS) market covers the resources and services related to the virtual environments used for software development.
The Software as a Service market (SaaS) market covers the resources and services related to software applications that can be accessed via a web browser.
The Business Process as a Service (BPaaS) market covers the resources and services related to the various business processes such as finance and accounting, human resources, customer service, and supply chain management, all delivered through the cloud.
The Desktop as a Service (DaaS) market covers the resources and services related to virtual desktop environments, which are accessible from any device with an internet connection.

Additional Information:

The public cloud market comprises revenue, revenue change, average spend per employee, and key player market shares as key performance indicators. Only revenues that are generated by primary vendors at the manufacturer price level either directly or through distribution channels (excluding value-added tax) are included, and revenues generated by resellers are excluded. Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players of the public cloud market include companies such as Amazon (Amazon web services), Microsoft (Azure), Google (Cloud), and IBM (Cloud).

For more information on the data displayed, use the info button right next to the boxes.

Market

Region

Region comparison

Currency

Analyst Opinion

The Public Cloud market in South America is experiencing significant growth and development, driven by customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. Customer preferences in South America are shifting towards cloud-based solutions due to the numerous benefits they offer. Public Cloud services provide scalability, flexibility, and cost-efficiency, allowing businesses to easily expand their operations and adapt to changing market conditions. Additionally, the increased adoption of digital technologies and the need for remote work solutions have further accelerated the demand for Public Cloud services in South America. Trends in the market indicate a growing number of businesses in South America migrating their IT infrastructure to the Public Cloud. This trend is driven by the need for improved data security, disaster recovery capabilities, and the ability to access data and applications from anywhere. Furthermore, the rise of Software-as-a-Service (SaaS) and Infrastructure-as-a-Service (IaaS) models has made it easier for businesses in South America to access and utilize Public Cloud services without the need for significant upfront investments. Local special circumstances in South America, such as limited IT infrastructure and resources, have also contributed to the growth of the Public Cloud market. Many businesses in the region face challenges in building and maintaining their own data centers, making Public Cloud services an attractive alternative. Additionally, the increasing number of startups and small businesses in South America are leveraging Public Cloud services to quickly scale their operations and compete with larger players in the market. Underlying macroeconomic factors, such as the growing digital transformation initiatives and the increasing adoption of cloud technologies by governments and enterprises, are driving the growth of the Public Cloud market in South America. Governments in the region are investing in cloud infrastructure and promoting the adoption of digital technologies to drive economic growth and improve public services. At the same time, large enterprises are embracing the Public Cloud to enhance their agility, reduce costs, and gain a competitive edge in the market. In conclusion, the Public Cloud market in South America is experiencing rapid growth and development due to customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. The shift towards cloud-based solutions, the increasing adoption of digital technologies, and the need for scalable and cost-efficient IT infrastructure are driving the demand for Public Cloud services in the region. With the ongoing digital transformation initiatives and the growing importance of cloud technologies, the Public Cloud market in South America is expected to continue its upward trajectory in the coming years.

Methodology

Data coverage:

The data encompasses B2B, B2G, and B2C enterprises. Figures are based on the money spent at manufacturer price level (excluding VAT).

Modeling approach / Market size:

Market sizes are determined through a top-down approach with a bottom-up validation, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of the market-leading companies and reports from our primary research. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of telecommunications infrastructure. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. The main drivers are the GDP and the level of digitization.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level.